Logan Tod study predicts 1/3 increase in online Christmas 2007 sales

A Logan Tod study, carried out by YouGov, today suggests that British shoppers intend to spend one third more on Christmas shopping online this year - signaling a record rise to £10bn in 2007.

“A huge 75% of adults who use the Internet in the British bought gifts for loved ones online this year,” says Matthew Tod, Logan Tod Chief Executive. “Looking ahead to 2007, the primary source of growth is set to be the lighter shoppers among this group moving more of their Christmas spending power online, with just less than half planning an increase in online spend.”

“Those over 50 are also set to be a major driver of growth, with value of sales from this section of the population predicted to grow twice as fast in comparison to the younger generation of 18-29 year olds,” adds Matthew Tod.

Over two thirds of GB shoppers state 24 hour opening hours (72%), avoidance of Christmas shopping crowds (70%) and home delivery (64%) as being the primary reasons for shopping for gifts online. 69% are also swayed by price, but convenience is the major driver of online Christmas sales.

“Only 1% of British shoppers (who shopped online in 2006) plan to spend less online next Christmas,” says Matthew Tod. “This highlights the current positive consumer sentiment and a continuation in the recent trend of spending power increasingly moving online.”

IMRG figures indicate a 50% rise in online sales in 2006, equaling a total of £7.5 billion.

“Currently, 2007 online sales are set to grow at a slightly reduced rate in comparison to 2006. The challenge for online marketers this year now rests less with convincing people to move online, but instead targeting high growth market segments to deliver above average sales growth,” adds Matthew Tod.


Editor’s notes

About the research
Research was commissioned by Logan Tod & Co. and conducted online by YouGov in January 2007. Results are based on responses from 2,254 GB adults.

About Logan Tod & Co
Logan Tod & Co. is an independent digital consultancy, focused on helping companies achieve better results from e-business. The company ensures online activity creates more sales leads, sells more, saves money and improves ROI. The Logan Tod team does this by analysing data, managing the conversion process and developing techniques to maximise the effectiveness and efficiency of a website.

Logan Tod works closely with its clients, ensuring their site development is more business results driven and customer centric. Clients include Renault, Mothercare, Sharps Bedrooms, Littlewoods, Provident Finance, Computer Associates, the National Physical Laboratory, News International and Focus DIY.


Angela Graham
immediate future Ltd.
0845 408 2031

Published on: 12:00AM on 17th January 2007